Us feeble-brained humans are uncomfortable with path-dependent outcomes. We don't want Bitcoin, or anything, to have an arbitrary price determined merely by ma

Us feeble-brained humans are uncomfortable with path-dependent outcomes. We don't want Bitcoin, or anything, to have an arbitrary price determined merely by marginal bid and ask, let alone a multiple equilibrium - we want it to have an underlying value. Which is a physical property, like weight or orangeness. It's very sadly ironic that the author who mentions Menger forgets that value is intangible and subjective. Value isn't physical. People value things for different reasons be they physical characteristics or not. (e.g. sentimental value) The BTM asserts that money and a bubble are the same thing. Both are anomalously overvalued assets. Both obtain their anomalous value from the fact that many people have bought the asset, without any intention to use it, but only to exchange it for some other asset at a later date. It's not anomalous. People value it because they can use it as a medium of exchange. That's how they value it. The notion that value is a physical characteristic of something is what causes one to believe that valuing money is irrational. There is no such thing as "underlying" economic or material value. There is only subjective value. Prices arise by the auction mechanism; people bidding on things, which causes commodities to converge somewhere between the bit-ask spread. This is the price, (objective) which is not to be confused with value. (subjective)